IMF Managing Director Kristalina Georgieva has warned that escalating trade tensions and structural shifts in the global trading system will lead to downward revisions in the Fund’s global growth forecasts. However, a global recession is not expected.⁣ ⁣ Speaking ahead of the IMF and World Bank Spring Meetings, Georgieva said the latest U.S. tariffs—and retaliatory measures by China and the EU—have created “off the charts” uncertainty and triggered extreme volatility in financial markets.⁣ ⁣ “Disruptions entail costs,” she said, previewing the updated World Economic Outlook, which will include lower growth and higher inflation projections for some countries. “To quote from The Wizard of Oz, we’re not in Kansas anymore.”⁣ ⁣ Georgieva also warned that recent movements in U.S. Treasury yields signal mounting financial risk. “Everyone suffers if financial conditions worsen.”⁣ She noted that while large economies drive the confrontation, smaller countries face outsized exposure: “As the gia...